Supreme court discharged guidelines for cheque bounce cases and asked govt to amend Laws

The SC said that over the years, courts have been inundated with cheque bounce complaints which could not be decided within a reasonable period and “this gargantuan pendency of complaints … has had an adverse effect in disposal of other criminal cases.”

To avoid multiplicity of proceedings and to reduce the burden on the docket of the criminal courts, a five-judge Constitution Bench led by Chief Justice S A Bobde recommended that “suitable amendments” be made in the Negotiable Instruments Act for provision of one trial against a person for multiple offences under Section 138 committed within a period of 12 months.

In 2.31 crore pending criminal cases, 35.16 lakh relate to dishonoured cheques. The reason for the backlog of cases, according to amici curiae, is that while there is a steady increase in complaints every year, the rate of disposal does not match the rate of institution of complaints.

Stating that undue delay in service of summons is the main cause for the disproportionate accumulation of complaints under Section 138 before the courts, the judges requested the high courts to issue practice directions to the trial courts to treat service of summons in one complaint pertaining to a transaction as deemed service for all complaints filed before the same court relating to dishonour of cheques issued as part of the transaction.

The SC said that over the years, courts have been inundated with cheque bounce complaints which could not be decided within a reasonable period and “this gargantuan pendency of complaints … has had an adverse effect in disposal of other criminal cases.”

By Priyanka L

1 thought on “Supreme court discharged guidelines for cheque bounce cases and asked govt to amend Laws

  1. Good. But it will be followed? Trial court, even that do have attitude to follow binding Honble HIGHCOURT and HONBLE APEXCOURT JUDGEMENTS.

    Like

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